Geographic concentration risk is one reason why these behemoth emerging markets ETFs are not rated higher by some analysts.

“The reason these low-cost options aren’t rated higher is they have large stakes in Chinese stocks, with roughly one third of their portfolios dedicated to companies listed in China,” said Morningstar in a recent note.

The research firm has Bronze ratings on IEMG and VWO.

What’s Next for the Chinese Market

“The Bronze rating isn’t a reflection of expectations about the Chinese market. Instead, it shows a lower level of confidence in the ability of these funds to perform well within the category, because they don’t diversify their country-specific risk as well as some of their actively managed competitors,” said Morningstar.